How do masternodes earn rewards?

Masternodes perform network security functions by facilitating rapid propagation of valid ION transactions across a network of authoritative nodes, contributing to transaction security and ensuring coins can only be sent and received once. Because masternodes achieve consensus among themselves quickly, ION transactions are fast and secure.

Masternode rewards stabilize ION markets

Each time a block is added to the ION chain, half of the block reward and associated transaction fees goes to a randomly selected masternode for contributing to this authoritative subnetwork. This steady income functions as incentive for investors to acquire and hold large amounts of ION, increasing demand and stabilizing markets.

Masternodes provide premium transaction services

The masternode subnetwork also offers premium services, namely instant and private transactions. For an additional fee, transactions can be fully confirmed in seconds, and users can anonymously mix their wallet balances (inputs) with other wallet inputs sufficiently enough so as to obfuscate the owner. A masternode is randomly chosen to receive all such premium transaction fees inside a block.